The new tax law that went into effect this month made buying homes financially less appealing in a high-cost area such as Westchester and Rockland.

But predicting how it could affect the Lower Hudson Valley's housing market isn't that simple.

"The general comment is that there's nothing in the new law that's helpful for the housing market," said Jonathan Miller, president of Miller Samuel Real Estate Appraisers & Consultants who authors residential market reports for Douglas Elliman Real Estate. "But the impact really depends on where you are in the market: The starter-end, the middle or the high-end, or if you are in the area with a limited supply versus an excess supply."

Two provisions in the tax reform law, titled "Tax Cut and Jobs Act of 2017," are more significant than others from the housing market perspective.

One of them, the $10,000 cap on the combination of property and local income taxes, is expected to have a major impact on the Lower Hudson Valley market because of the area's high property taxes. (On average, Westchester homeowners paid $16,500 a year in property taxes, the highest in the nation in 2016, according to ATTOM Data Solutions, which offers national property database. The runner-up was Rockland with the average property-tax bill of $12,300.)

The inability to deduct the entire property taxes increases the overall cost to buy a home, Miller said.

"You have less money available for principle and interests (for your monthly mortgage payment), meaning you either can't buy the type of a home you want to buy, or you wait and negotiate with the seller for the price to come down," he said. "So the takeaway from this is there will be downward pressure on housing prices and sales activities over the next year or two years."

Economists and other housing experts, including Moody's Analytics and National Association of Realtors, have also warned that the tax changes mean a loss in home values or at least a slowdown on price increases in expensive housing markets.

But the region's housing demand has been strong, particularly in the starter-home sector, where inventory has been shrinking to a historic low. As a result, the new law's impact may not be obvious.

"I would've been much more worried about the impact if we were not in a strong sellers' market," said Joseph Rand, managing partner for Better Homes and Gardens Rand Realty. "If this is going to have any kind of real impact, I don’t think it’s going to be dramatic or traumatic."

Another provision that could affect the housing market is lowering of the cap on loan principal eligible for mortgage interest deductions to $750,000 from $1 million.

Because this rule only applies to new mortgages, it could discourage homeowners from moving, further tightening the inventory condition.

But, said Rand, the $10,000 local-tax deduction cap may have the opposite reaction, who explained that those fed up with high-property taxes in the region could finally put their homes up for sale, increasing much-needed housing supply.

In any case, buyers and sellers would have to go through a "discovery process" in the coming year or two to asses the cost of the new law, and to find the "equilibrium point," Miller said.

"The answer is always, 'wait and see,'" Miller said. "But whatever perspective you are coming from, whatever market you are in, it doesn't enhance sellers' position in any way."